SDVOSB: Service-Disabled Veteran Owned Small Business – This is a term used by the federal government to designate a company that is owned (at least 51 percent) and controlled by a veteran with a Service-Connected Disability rating from the Department of Veterans Affairs.
The business also must qualify under the SBA’s Small Business Standards for their particular industry.
DVBE: Disabled Veteran Business Enterprise – This term is used by the State of California, public utilities and many private corporations to designate a company that is owned (at least 51 percent) and controlled by a veteran with a Service-Connected Disability rating of at least 10 percent from the Department of Veterans Affairs. Additionally, the veteran must reside in the state of California.
If the definitions of SDVOSB and DVBE above sound very similar, that’s because they are. However, there are some very key differences in the requirements:
- SDVOSB requires a VA Disability Rating of 0 percent, while DVBE requires a VA Disability Rating of 10 percent.
- DVBE requires the veteran to live in the State of California.
- SDVOSB requires the business to meet the federal small business requirements for their industry.
SDVOB/DVBE Certification Information
“Certification” is a term that gets used frequently in the small business world, but is often misunderstood. The goal surrounding certification is two-fold:
- Help you determine if certification is right for your business. While we generally recommend getting certified, ultimately, it may not be necessary for your business needs.
- Help you find your way through the certification process. Certifications range from “self-certification” where you check a few boxes, all the way to full-blown audits of your business filings and financial information.
Is Certification right for your business? Depending on the customers you are trying to reach and the products/services you provide, certification may or may not be right for you. A good place to start is to ask yourself these questions:
- Do large corporations or government agencies purchase my goods or services?
- Does my company have the necessary insurance, bonding and administrative capabilities to perform work for the government or large corporations?
If you answered “YES” to these questions, getting certified will likely open up new opportunities for your business.
Finding your way through the Certification Process: If you plan on doing business with the federal government, being certified as an SDVOSB can open many set-aside contract opportunities for your business. The Federal SDVOSB certification comes in two parts:
- Self-Certification via SAM (System for Award Management): If you are a service-disabled veteran who owns at least 51 percent of your company and controls day-to-day operations, you can self-certify online by selecting the correct representations and certifications in your profile at SAM.gov. It’s that easy.
- CVE Verification via the Department of Veterans Affairs:This certification, also known as “Verification” requires the business owner to submit many business and personal documents including tax returns (3 years), Articles of Incorporation, Bylaws, meeting minutes and various other documents in order to verify that the service-disabled veteran actually “owns and controls” the business. If you want to do business with the VA or take advantage of the “Veterans First” legislation, you will need to complete this process. For more information, please visit va.gov for more information.
- DVBE Certification:If you and your business are located within the State of California and you have at least a 10 percent Disability Rating, you may qualify for the Department of General Service’s Disabled Veteran Business Enterprise (DVBE) program. This is a valuable certification if you are looking to do business with state agencies or public utilities. For more information visit caleprocure.ca.gov/pages/sbdvbe-index.aspx.
- New York State SDVOB Certification:The Service-Disabled Veteran-Owned Business Act allows eligible veteran business owners to get certified as a New York State Service-Disabled Veteran-Owned Business (SDVOB). The 6 percent goal encourages and supports eligible SDVOBs to play a greater role in the state’s economy by increasing their participation in New York State’s contracting opportunities. This program is open to all SDVOB’s nationwide. For more information visit ogs.ny.gov/veterans.
Source: VIB Network